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Tag: chart of the month
Chart of the Month – Credit Dislocation
Credit Dislocation The COVID-19 crisis has translated into one of the biggest financial markets shock in history. The spread in Emerging Market High Yield Debt widened more than during the global financial crisis in 2008. Importantly, this widening happened in a matter of few weeks. This shock is also visible…
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Chart of the Month – Green? Supergreen!
Green? Supergreen! For the past three years, we generally haven’t gone a week without a mention of responsible investment. There is a real awareness of the situation in which we find ourselves, particularly from the point of view of climate change. We have to align our thoughts and our investments:…
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Cartoon of the Month – “Audentes fortuna iuvat” Fortune sides with him who dares
“Audentes fortuna iuvat”, Virgil Currency risk, volatility risk, downside risk, credit risk, liquidity risk, concentration risk, equity risk, key man risk, governance risk, geopolitical risk, duration risk, counterparty risk, disruption risk, opportunity risk, macro risk, regulatory risk, reputational risk, competitive risk …. And the list goes on…. Risk is inherent…
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Chart of the Month – 2019: Everything was positive! 2020: Be selective!
2019: Everything was positive! 2020: Be selective! One year ago, we stated the following conclusion when we summarized 2018: “2018 was the “annus horribilis” of the capital markets with no place to hide to make money. 2019 has started with attractive valuations and some challenges (US-China trade war, Brexit, Central…
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Chart of the Month – Could the USD/EUR surprise on the downside in 2020?
Could the USD/EUR surprise on the downside in 2020? The strength of the USD has been quite surprising this year when looking at central banks activity and fair value models. It is now up 4.0% versus the EUR at 1.10. The US Federal Reserve reversed course in early 2019 by…
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Chart of the Month – Luxury: resilience of the 3 musketeers
Luxury: resilience of the 3 musketeers Marketwise, a year never resembles the previous one. Nevertheless, one element persists: the ability of the major Luxury Goods companies to sail on headwinds, to adapt and resist. Many events have put the market under pressure this year: political and economic episodes, sectoral rotations,…
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Chart of the Month – Growth vs Value: there’s a risk in everything, so be prepared for ups and downs
Growth versus Value: there’s a risk in everything, so be prepared for ups and downs So here we go again with the never ending confrontation between the Growth guys and the Value guys: they both tell you that their philosophy is the surest way to make money in equities over…
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Chart of the Month – “Who you trying to get crazy with this thing? Don’t you know I’m loco?”
“Who you trying to get crazy with this thing? Don't you know I'm loco?”(*) Hip-hop does not have a lot in common with financial markets and this 1993 song from Cypress Hill was obviously not aimed at giving any reference to any asset class whatsoever. But when looking at the…
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Chart of the Month – FED vs Growth for Emerging Markets
FED vs Growth for Emerging Markets We are generally not fan of discussing EM as a single group as countries’ profiles and reaction functions are increasingly different from a country to another. But for the sake of simplification in this monthly chart we would assume so. So which EM asset…
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Chart of the Month – Is the lifecycle of the hedge fund industry over?
Is the lifecycle of the hedge fund industry over? Numerous academic studies have shown that small funds outperform in their first few years of existence before they become victims of their success and subsequently attract too much money to perform in the investment strategy initially intended. Recent history shows that…
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